If you’re not an AI startup, good luck raising money from VCs

New PitchBook knowledge illustrates how dramatically AI is dominating startup funding, with 2025 on-track to turn into the primary 12 months when AI accounts for greater than half of all VC cash invested.

PitchBook studies that VCs have poured $192.7 billion into the business up to now this 12 months, out of a complete $366.8 billion, in response to Bloomberg. In the newest quarter, AI accounted for 62.7% of the cash invested by U.S. VCs, and for 53.2% of cash invested by world corporations.

Most of that cash goes to marquee names like Anthropic, which introduced a $13 billion Collection F in September. In the meantime, the variety of startups and enterprise funds efficiently elevating cash are at their lowest ranges in years — PitchBook says that 823 funds have been raised globally up to now in 2025, in comparison with 4,430 in 2022.

PitchBook’s director of analysis Kyle Sanford advised Bloomberg that the market is turning into “bifurcated,” the place “you’re in AI, otherwise you’re not” and “you’re a giant agency, otherwise you’re not.”